Sugar Futures Traded Lower On Thursday

Sugar Futures traded lower on Thursday tracking weak international prices. The food ministry expects sugar output in 2017-18 (Oct-Sep) at 235-240 lakh tonnes (lt), much below 251 lt projected by the Indian Sugar Mills Association (ISMA). As per the officials, Sugar output in Uttar Pradesh may rise to about 92-93 lt in 2017-18, up from 88 lt produced this year, while in Maharashtra, sugar production may rise to 73 lt, up from 42 lt produced in 2016-17.

ICE Sugar futures tumbled nearly 6% on Thursday after computergenerated sell stops drove prices sharply lower within just one minute, triggering a circuit breaker. October raw sugar settled down 0.48 cent, or 3.3%, at 14.31 cents per lb, after falling 5.9 percent. Earlier, Brazilian government reduced a federal ethanol tax on Friday, after the market closed, while maintaining higher diesel and gasoline rates.